- Galaxy, Multicoin, Jump seek $1 billion for Solana; Cantor leads
- Foundation backs the plan; target close in early September
- Upexi holds 2 million tokens (~$400 million); forced-selling risk noted
Galaxy Digital, Multicoin Capital and Jump Crypto are in talks with potential backers to raise roughly $1 billion to accumulate Solana by creating a digital asset treasury company that would take over an unidentified publicly traded entity. Cantor Fitzgerald LP is the lead banker. The Solana Foundation in Zug has endorsed the effort, and the transaction is expected to close in early September. The token ranks as the sixth-biggest and has more than doubled from an April low while still below a January record high. On Monday, the price slipped as much as 2.7% during a broad market retreat.
Why Solana accumulation is drawing new capital
A reserve at the planned scale would be more than double the size of the largest single-asset pool focused on this network today. Backers are seeking listed-vehicle access, audited reporting, and standardized disclosures while aiming to concentrate purchasing power in a structure that can scale. The appeal of Solana in this setup rests on active on-chain usage and liquidity, plus a supply profile that large buyers can absorb over time without distorting trading conditions if execution is staged.
Deal architecture and the role of Cantor Fitzgerald
The sponsors intend to gain control of a public entity instead of launching a new listing, a route that can streamline timing and investor onboarding. Cantor Fitzgerald LP, as lead banker, would organize the transaction, coordinate bookbuilding, and manage outreach to institutions that want exposure through a treasury wrapper. The model is straightforward: raise capital, hold inventory, and publish regular updates on custody, financing, and net asset value that track the underlying token.
Solana price context: April low, January peak, Monday’s 2.7% slip
The token more than doubled from an April low yet remains under its January record high. That path captures the rebound from 2022 stress and the sensitivity to headline flow. Monday’s drop of up to 2.7% underscores how a broad risk-off session can pressure prices even when longer-term accumulation themes are intact. For a treasury program, such days can become execution windows if spreads widen and depth improves on the way down.
Foundation endorsement and early-September timeline
The Solana Foundation, a nonprofit based in Zug, Switzerland, has given its endorsement. That alignment signals operational support for a buyer at scale and can reduce uncertainty for service providers. People familiar with the plan indicate a closing in early September, which sets expectations for when investors might see finalized structure, governance, and custody details presented through public filings and the target company’s communications.
Upexi’s 2 million-token position and market signaling
Upexi Inc. pivoted in April to concentrate on accumulation and reports a holding of more than 2 million tokens valued at roughly $400 million on its website. That inventory provides a public benchmark for sizing exercises and shows that listed entities can build meaningful exposure within months. If the new vehicle raises the full $1 billion, its balance sheet would sit well above the Upexi reference level and could become a central point of secondary market analysis.
Solana after FTX: from crisis narrative to memecoin activity
The network first gained broad attention when it was championed by former FTX CEO Sam Bankman-Fried. After FTX imploded in 2022, survival was a frequent concern, yet activity rebounded and the chain became a favored venue for issuers of memecoins driven by social media flows. That shift delivered volume and on-chain engagement while keeping volatility elevated, a factor any treasury buyer must consider when setting risk limits and pacing purchases.
Prior exposure: Galaxy, Multicoin, Jump, and the $620 million estate purchases
Multicoin and Jump have invested across the ecosystem for years. Galaxy Trading raised about $620 million for a fund that acquired tokens from the FTX estate last year. The new plan would bring these firms together inside one listed vehicle, offering allocators a single point of entry rather than multiple private funds. Concentrated governance can help unify custody standards, financing terms, and disclosure cadence so investors can track inventory and cost basis over time.
How digital asset treasuries shape liquidity
Listed treasuries can reduce free float and create persistent baseline demand. Ether-focused digital asset treasuries have accumulated about $20 billion of the second-largest token, and that steady purchasing coincided with a rally that pushed Ether past an almost four-year-old record high on a recent Friday. While many drivers contribute to price, rule-based buying programs and transparent balance sheets can anchor depth across spot and derivatives when sentiment is neutral.
Risk controls, forced selling, and Novogratz’s warning
Any downturn that lasts can stress balance sheets. If leverage or covenants bite, forced selling can accelerate declines. Michael Novogratz, Galaxy’s CEO, said this month that the rush to create new treasuries has likely peaked and that new entrants may “have a harder time getting oxygen.” Sensible parameters include low loan-to-value ratios, multi-custodian setups, and redemption mechanics that do not force inventory to market during thin liquidity.
Solana vs Ether DAT flows and price effects
Ether’s roughly $20 billion in accumulated holdings shows how listed treasuries can influence trading conditions. A $1 billion program focused on Solana would start from a smaller base but still matter for daily flows. If execution is paced and disclosed, the market can prepare for regular demand without sharp dislocations. The aim is not to engineer price but to provide predictable participation that aligns with custody practices and public reporting.
A note on listed balance-sheet strategies and Bitcoin precedents
The broader idea was popularized as a contrarian corporate bet by Michael Saylor’s Strategy, which today holds a Bitcoin trove worth about $70 billion. That example helped normalize digital assets on corporate balance sheets and encouraged other listed paths. Growth also brings warnings. If credit grows faster than liquidity, unwind risk rises. For the new vehicle, conservative financing and stress tests that reference 2022 conditions would set a clearer baseline for long-term holders.
Conclusion
If completed on the early-September timeline, a $1 billion raise with Cantor Fitzgerald as lead banker, endorsement from the foundation in Zug, and a structure that takes over a public entity would reshape listed demand. Reference points include Upexi’s more than 2 million tokens valued around $400 million, Galaxy Trading’s $620 million estate purchases, and examples from Ether treasuries near $20 billion. The history from the FTX collapse to renewed activity explains both the resilience and the risk. The focus remains on measured accumulation, clear disclosures, and safeguards that limit forced selling while allowing a steady bid for Solana over time.
Disclaimer
The information provided in this article is for informational purposes only and should not be considered financial advice. The article does not offer sufficient information to make investment decisions, nor does it constitute an offer, recommendation, or solicitation to buy or sell any financial instrument. The content is opinion of the author and does not reflect any view or suggestion or any kind of advise from CryptoNewsBytes.com. The author declares he does not hold any of the above mentioned tokens or received any incentive from any company.
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